Increase in Transport Allowance for Central Govt employees

No. 21(2)/2015-E.II (B)Government of IndiaMinistry of Finance
Department of Expenditure

New Delhi, Dated- 6th August, 2015

OFFICE MEMORANDUM

Subject:-Grant of Transport Allowance to Central Government employees.

Reference is invited to Ministry of Finance, Department of Expenditure O.M. No. 21(2)/2008-E.II(B) dated 29th August, 2008 regarding grant of Transport Allowance to Central Government employees, consequent upon implementation of the recommendations of the Sixth Central Pay Commission (6th CPC).

2. The Government has since considered the re-classification of cities/towns/localities as per Census-2011 (population criteria) for the purpose of Transport Allowance. Accordingly, the President is pleased to decide the revised classification of cities, towns and localities, for the purpose of grant of Transport Allowance at higher rates to Central Government employees, as per Annexure-I. Therefore, the table below para ‘1’ of O.M. dated 29.08.2008 stands partially modified as under:-

Employees drawing Grade Pay of

Rates of Transport Allowance admissible per month

Cities classified as per Annexure-I

All cities, towns and localities, other than those included in Annexure-I

Grade Pay of Rs. 5400/- and above

Rs. 3200/- plus Dearness Allowance thereon

Rs. 1600/- plus Dearness Allowance thereon

Grade Pay of Rs. 4200/-, Rs. 4600/- and Rs. 4800/-

Rs. 1600/- plus Dearness Allowance thereon

Rs. 800/- plus Dearness Allowance thereon

Those drawing Grade pay below Rs. 4200 but drawing pay in pay band equivalent to Rs. 7440/- and above

Grade pay below Rs. 4200 and pay in pay band below Rs. 7440/-

Rs. 600/- plus Dearness Allowance thereon

Rs. 400/- plus Dearness Allowance thereon

3. The revised classification ofcities/towns/localities for the purpose of grant of Transport Allowance shall take effect from 1st April, 2015.

4. The orders will apply to all civilian employees of the Central Government. The orders will also be applicable to the civilian employees paid from the Defence Services Estimates. In respect of Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and the Ministry of Railways, respectively

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